Tuesday, September 6, 2011

The New Venture Capitalists of the Knowledge Economy

Bart De Wever's column in today's De Standaard touched on a number of relevant issues: since Flanders has few, if any, natural resources and most of its traditional/historical manufacturing industry (iron & steel, non-ferrous metals, industrial machinery, wool & cotton, glass, ...) has scaled down, been taken over by foreign corporations and/or been off-shored, the only 'resource' it has left to export is its knowledge, i.e. brainpower. Which leads Mr De Wever to discuss the current state of education in Flanders, and in particular the need to adjust the education system to the changing demands of society. 

It reminds me of one of several amazing quotes in the series of YouTube clips "Did You Know?" (for instance this one focused on Technology): "We are currently preparing students for jobs that don't yet exist,... using technologies that haven't been invented... in order to solve problems we don't even know are problems yet." It strikes me that the real venture capitalists today are in fact our student generations: taking considerable risk in choosing to specialise in a given discipline to become a knowledge expert in that area, in the hope but without any certainty that this investment of time and money will provide for a decent income (the ROI).

It all used to be so different, when diplomas were an entry ticket to almost-sure jobs (often: jobs for life)!

My point here is: Don't we also need to change the way we treat (and reward) these new venture capitalists in the knowledge economy ? 

Consider in that context what Drucker said: "the assumption on which all organizations have to conduct their affairs is that they need the knowledge worker far more than the knowledge worker needs them" ! How long before these new venture capitalists will say - in true Dragons Den style - "I will come to work for you, but I want (double the) equity" ?